There have been significant changes made in the Real Estate Market over the last few months, in particular, the Lending market. The last nine months have been very volatile from standpoint loan guidelines, and banks have pulled back and, in some cases, out of the lending business.
A few hoarer stories are:
•1. Banks not funding the loan after they issue a clear-to-close
•2. Locks on interest rates not being honored
•3. Making Mortgage Brokers accountable for their client defaults
•4. Lines of Credit depleting daily
The list goes on and on. But I do not want to focus as much on the negative. There are a myriad of great opportunities for a buyer today. For example the first-time-homebuyer has the opportunity, with rates coupled with home prices, to buy in areas that he/she could not afford just 18 months ago! Take a look at the communities in Bonita Springs home sales prices have dropped as well as interest rates being at a three year low. What more could you ask for?
In today's market it is more important than ever to work with your buyers one-on-one-to get them qualified, and get them closed. Theses are "volatile" times and we see the changing's happening daily, so be prepared to answer the tough questions. Tell your buyers the truth, not just what they want to hear. We advocate payments, not rates, structure, not percentages. Have control over your next buyer, and advocate your professionalism, and remind them (your buyer)that in a market such as this just how much they need you! Let us help you in your residential financing needs.